Uber faces EU-wide class action over AI-driven pay and job allocation

A group of Uber drivers across Europe has initiated a landmark class action in Amsterdam, asserting that the ride-hailing firm’s AI-based pay-setting tool violates GDPR and depresses their income. The lawsuit, representing roughly 241,000 drivers in the EU and the UK, claims the black-box algorithm tailors rates for each ride, often offering lower fares to drivers it deems willing to accept less. Drivers recount instances where the same job was offered at different prices to nearby couriers, describing the system as constantly watching and exploiting their vulnerabilities.

Uber maintains that fare calculations rely only on real-time trip data and that dynamic pricing can increase earnings on unattractive trips. The company plans to appeal a recent €825 million fine from the Dutch data-protection authority for automated driver deactivations and is also preparing to introduce supervised driverless cars in several European cities. Legal representatives argue that an algorithm should not independently determine livelihoods, calling for accountability and an end to the alleged exploitation.